The following information was derived from an Income Statement when 20,000 units were sold Sales $1,250,000 Variable Costs 250,000 Contribution Margin $1,000,000 Fixed Costs 400,000 Net Income $ 600,000 Determine the break even point in units sold What is the margin of safety How many units must be...

Breakeven point margin of safety and units for desired net income Based on the information p ...

The following information was derived from an Income Statement when 20,000 units were sold. Sales $1,250,000 Variable

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The following information was derived from an Income Statement when 20,000 units were sold.

Sales	$1,250,000
Variable Costs	250,000
Contribution Margin	$1,000,000
Fixed Costs	400,000
Net Income	$ 600,000

Determine the break-even point in units sold.

What is the margin of safety?

How many units must be sold if a Net Income of $800,000 is desired?

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Fundamental Managerial Accounting Concepts

ISBN: 978-0078025655

7th edition

Authors: Thomas Edmonds, Christopher Edmonds, Bor Yi Tsay, Philip Old

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Posted Date: Feb 27, 2024 12:29 AM

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The following information was derived from an Income Statement when 20,000 units were sold. Sales $1,250,000 Variable

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